The Pilot Plant: A Strategic Step in Financing a Transformation Process

The mining industry must continually optimize or develop new transformation processes to overcome the many challenges faced in mining, such as the growing use of complex or low-grade minerals, maintaining environmental integrity, specific market needs, and increasing productivity to name just a few. Innovation also extends to the beneficiation of tailings as a way to maximize the resource’s value. However, new approaches can create apprehension among lenders and investors, who feel more at ease with established and proven processes. Before injecting money into such large-scale projects, financial backers need to be reassured about the economic viability of the process and its technical feasibility. As a strategic tool for funding, the pilot-scale demonstration of a process helps to alleviate uncertainties and mitigate risk.